According to Wells Fargo, Becton, Dickinson and Company, also known as BD, is one of the best defensive names in the tech sector, especially at a time when the economy is at risk of a recession. The company upgraded shares on Friday to gain weight from a comparable weight, saying it is better positioned than some of its peers in the industry to weather upcoming macro challenges. “BDX stock has outperformed the S&P 500 index over the past four recessions,” said senior equities analyst Larry Biegelsen. “Given the pricing power of BDX and the less selective nature of its products, we see BDX as an excellent defense against recession risk.” He added that the overrated rating “reflects our view that BDX is well positioned to deliver above 5.5% + basic organic sales and double-digit core EPS growth.” Biegelsen noted that the company has been more proactive than competitors in using pricing to offset inflationary pressures and invest in its supply chain. He also pointed out that the company’s path to expanding operating margins “seems obvious.” Financial targets as of its December 2021 analysis date remain the same or have improved, he said. “Above all, our opinion is that management is more confident in exceeding 5.5% growth, driven by accumulation from the EMBC chain, accumulated from recent attractive transactions. and the strength of the underlying business,” Biegelsen said. “Bottom line, BDX remains comfortable targeting double-digit EPS growth, which looks doable given its revenue growth and margin expansion goals.” Wells Fargo expects the company to report a strong third quarter, adding that it is well-positioned for a strong 2023. It also sees the acquisition of Parata, a pharmaceutical automation company, as a positive driver for the revised estimate for next year’s forecast.